Nevada County picayune., 1887-11-02
JEFFERSON ON PAPER MONEY.

'I am sorry to see our loans be. gin at so exorbitant an interest. And yet even ai that, you will soon be at the bottom of the loan-bag- We are an agricultural nation, Such an one employs it's sparings in the purchase, or improvement of land or stocks. The lendable money among them. is chiefly that of orphans and wards, in the hands of executors and guardians. and that which the farmer lays by till ne has enough for the purchase in view. In such nation there is one and one only, resource for loans, sufficient to carry them through the expenses of a war; and that will always he sufficient, and in the power of an honest govern. ment, punctnal in the preserva- ton its faith. The fund mean. is the mass of circulating coin. Every one knows, that although not literally, it is nearly true, that every paper dollar emitted ban ishes a silver one from the circu- lation. A nation, therefore, mak- ing it's purchases and payments with bills fitted for circulation, thrusts an equal sum of coin out of culation."-Jefferson's works, Vol. VI, P. 139.
 "In this way, am not without hope, that this great, this sole re- source for loans in an agricultural country, might yet be recovered for the use of the nation during war; and, if obtained in perpetur um, it would always be sufficient to carry us through any war; pro- vided, that in the interval between war and war, all the outstanding paper should be called in, coin be permitted to flow in again, and to hold the field of circulation until another war should require it's yielding place again to the national medium" -Jefferson's works, Vol. VI, P. HI.
 "Bank paper must be suppress ed, and the circulating medium must be restored to the nation 10 whom It belongs. H is the only fund upon whieh they can rely FOR LOANS; it is the only resource which can never fail them, and it is an abundant one for every nec- essary purpose. Treasury bills. bOttomed On tares, bearing or not bearing interest, as may be found necessary, thrown into circulation will take the place of so much gold and silver, which last, when crow ded, will find an efflnx into other countries, and thus keep the quan. tum of medium at its saIutary lev. el."-JeffersOns works, V. 6, p. l99.
 i've are now without any medi- um; and necessity, as well as patri- otism and confidence will make us eager to receive treasury notes, if founded on specific tnres."-Jefier sons works, Vol. VI, P. 3S2.
 "But Congress could then have issued treasury notes, payable within a fixed period, and founded on a specific tax, the proceeds of which, as they come in, should be exchangeable for the notes of that particular emission only .'-J effer. sons works, Vol. VI, P. 3S2.
 "Treasury notes of small as well as high denomination, bottomed on d tax which would redeem them in ten years, would place at our disposal the whole circulating me- dium of the United States: a fund of credit sufficient to carry us through any probable length of ar."-Jefferson's works, Vol. VI, P. 4l9.
 ''In both cases, the truth IS, that capital may be produced by indus try, and accumulated by economy; but jaggiers only propose to create it by legerdemain tricks with pa per. "-Jeff'ersOn's works, Y. 6, p 24I.
 "There is indeed a convenince in paper; it's easy transmission from one place to another. But this may be mainly supplied by bills of Exchange, so as toprevent any great displacement of actual coin. Two places trading togeth, CT balance their dealings, for the most part, by their mutual sup. plies, and the debtor individuals of either may, instead of cash, re- init the bills of those who are cred